To investigate the efficacy of each of two doses of adefovir compared to placebo with respect to changes in liver histology and in enhancing anti-HBe sero conversion and decreasing serum HBV DNA, at the end of one year and 2 years. Adefovir could potentially have antiviral activity in a broader range of cell types than other nucleoside therapies with antiHBV activity. Previous data suggests that it may be possible to treat lamivudine-resistant strains of HBV with adefovir and that combination therapy of adefovir with lamivudine may prevent the energency of resistance to lamivudine.